[Calc Review] Help me analyze this deal

[AJ Smith]

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*This link comes directly from our calculators, based on information input by the member who posted.

Hey y'all,

I think I found an awesome BRRRR deal and I wanted to get your thoughts! I have calculated several BRRRR deals before but never had much luck with the return, though this one is showing immense returns even in the initial rental period.

A bit of background on the house:

I believe this house is in foreclosure, which is why its going for only $15500, though I am not sure. I would do an inspection and a S.O.W by a contractor before committing to buying, but boy oh boy do these numbers make me excited.

I think this house has amazing potential for value add based on old kitchen hardware, gross (peeling, scratched hardwood) floors, and nasty colors on the walls. Paint and replace the hardware, refinish the floors, and repaint the walls and I think she would be ready to go, although of course this is contingent on the inspection passing. But even if there were some structural problems it may still be a good investment based on the numbers I have now.

Someone please tell me if/how I did these calculations wrong. I recognize that I may be too excited by this analysis, to the point where it may be blinding me to some serious calculation errors. So I would love to get your feedback on my numbers.

***Forgot to say, this property has been assessed by the County at $80,000, according to the property taxes section of Realtor.com. It is currently listed for $15,500.

[Dennis M.]

@AJ Smith

I think your expenses percentages need bumped up however all things considered it looks great as long as that rehab amount is okay heck even if it’s double that amount I’d still think to do it . Hard to go wrong at that price .